Gold futures rebound on global cues; up 1.44%

Covering-up of short positions by speculators at prevailing levels influenced gold futures prices

Gold futures prices today recovered by 1.44% to Rs 26,478 per 10 grams as speculators created fresh positions on positive global cues after Federal Reserve Chairman Ben S Bernanke backed sustained stimulus for some time.

 

Besides, covering-up of short positions by speculators at prevailing levels, also influenced gold futures prices here.

 

At the Multi Commodity Exchange, metal for delivery in August gained Rs 375, or 1.44%, to trade higher at Rs 26,478 per 10 gm in a turnover of 679 lots.

 

Similarly, the metal for delivery in far-month October contracts spurted by Rs 370, or 1.40%, to Rs 26,596 per 10 gm, clocking a business volume of 34 lots.

 

 

Analysts attributed rise in gold prices at futures trade to the precious metal's recovery in the global markets where it climbed to over two-week high after US Federal Reserve Chariman said its huge stimulus programme would stay in place for some time.

 

Further, covering-up of short positions by speculators also influenced prices, they said.

 

Globally, gold rose 2.4% to $1,289.80 an ounce in Singapore today, the highest level since June 25.